1. The Main Issues... Sponsorship scandal took place in context framed by... Sponsorship scandal took place in context framed by... the New Public Managment (NPM) the New Public Managment (NPM) freedom of information freedom of information whistle-blowing whistle-blowing public service ethics public service ethics Gomery report recommends changes/adjustments to... Gomery report recommends changes/adjustments to... the New Public Managment (NPM) the New Public Managment (NPM) freedom of information freedom of information whistle-blowing whistle-blowing public service ethics public service ethics Lectures (Part IV) Lectures (Part IV) basic description of each issue/elements basic description of each issue/elements how did each element contribute to the context of the sponsorship scandal? how did each element contribute to the context of the sponsorship scandal? what are the relevant recommendations by Gomery? what are the relevant recommendations by Gomery?

4. THE NEW PUBLIC MANAGEMENT

5. The New Public Management basic description basic description NPM and the context of the Sponsorship Scandal NPM and the context of the Sponsorship Scandal NPM and the Gomery Recommendations NPM and the Gomery Recommendations

6. The New Public Management the motivation for change the motivation for change the (abstract) solution the (abstract) solution specific proposals for change specific proposals for change

7. Context in which Change is/was Taking Place... globalization globalization government needs to adapt to changing context government needs to adapt to changing context budgetary deficit budgetary deficit government must be more efficient government must be more efficient “more with less” “more with less” information technology revolution information technology revolution providing the means to “do government differently” providing the means to “do government differently” creating demand that governments govern differently creating demand that governments govern differently less deferential public less deferential public increasing distrust of government institutions creating demand to change governance increasing distrust of government institutions creating demand to change governance increasing distrust of government placing limits on range of publicly acceptable solutions increasing distrust of government placing limits on range of publicly acceptable solutions more aggressive media more aggressive media

8. The Case Against Bureaucracy bureaucrats primary focus is proper procedure -- rather than results bureaucrats primary focus is proper procedure -- rather than results – bureaucratic self-preservation rigid -- rather than responsive rigid -- rather than responsive insulated -- rather than sensitive insulated -- rather than sensitive wasteful wasteful – bureaucratic self-aggrandizement unrepresentative unrepresentative

9. The New Public Management the motivation for change the motivation for change the (abstract) solution the (abstract) solution – If ONLY GOVERNMENT WERE MORE LIKE THE PRIVATE SECTOR...sigh... – What’s needed is a change in... VALUES!!

10. The New Public Management making government become more like business... making government become more like business... – focused on customer service – subject to competition – performance clearly indicated by profit margins -- “the bottom line” central concern with outcomes not process central concern with outcomes not process

11. The New Public Management the motivation for change the motivation for change the (abstract) solution the (abstract) solution specific proposals for change from traditional public administration specific proposals for change from traditional public administration

12. The New Public Management the motivation for change the motivation for change the (abstract) solution the (abstract) solution specific proposals for change from traditional public administration specific proposals for change from traditional public administration values values

13. The New Public Management the motivation for change the motivation for change the (abstract) solution the (abstract) solution specific proposals for change from traditional public administration specific proposals for change from traditional public administration values values management practices management practices

14. Values of the New Public Management

15. The New Public Management the motivation for change the motivation for change the (abstract) solution the (abstract) solution specific proposals for change from traditional public administration specific proposals for change from traditional public administration values values management practices management practices

16. The New Public Management (Borins) – Management Practices providing high-quality services that citizens value providing high-quality services that citizens value – adoption of private sector concepts of customer service increasing the autonomy of public managers (especially from central agency controls) increasing the autonomy of public managers (especially from central agency controls) – focus on outcomes not process performance indicators/benchmarking performance indicators/benchmarking measuring and rewarding organizations and individuals on whether they meet performance targets measuring and rewarding organizations and individuals on whether they meet performance targets open-minded attitude about which public purposes should be performed by the private sector open-minded attitude about which public purposes should be performed by the private sector – focus on “core businesses” privatization privatization – “steering not rowing” alternative service delivery alternative service delivery – appreciating the virtues of competition

17. The New Public Management – The Canadian Model distinguishing features – pragmatic/practical and non-ideological distinguishing features – pragmatic/practical and non-ideological providing high-quality services that citizens value providing high-quality services that citizens value – focus on citizen-centred service, service standards, and service quality

18. Treasury Board. Results for Canadians: A Management Framework for the Government of Canada. 2000.

20. Institute of Public Administration of Canada

21. The New Public Management – The Canadian Model distinguishing features – pragmatic/practical and non-ideological distinguishing features – pragmatic/practical and non-ideological providing high-quality services that citizens value providing high-quality services that citizens value – focus on citizen-centred service, service standards, and service quality increasing the autonomy of public managers (especially from central agency controls) increasing the autonomy of public managers (especially from central agency controls)

22. The New Public Management – The Canadian Model distinguishing features – pragmatic/practical and non-ideological distinguishing features – pragmatic/practical and non-ideological providing high-quality services that citizens value providing high-quality services that citizens value – focus on citizen-centred service, service standards, and service quality increasing the autonomy of public managers (especially from central agency controls) increasing the autonomy of public managers (especially from central agency controls) – emphasized in terms of financial and adminsitrative controls; less success in terms of human resource management

25. The New Public Management – The Canadian Model distinguishing features – pragmatic/practical and non- ideological distinguishing features – pragmatic/practical and non- ideological providing high-quality services that citizens value providing high-quality services that citizens value – focus on citizen-centred service, service standards, and service quality increasing the autonomy of public managers (especially from central agency controls) increasing the autonomy of public managers (especially from central agency controls) – emphasized in terms of financial and adminsitrative controls; less success in terms of human resource management measuring and rewarding organizations and individuals on whether they meet performance targets measuring and rewarding organizations and individuals on whether they meet performance targets

26. The New Public Management – The Canadian Model distinguishing features – pragmatic/practical and non- ideological distinguishing features – pragmatic/practical and non- ideological providing high-quality services that citizens value providing high-quality services that citizens value – focus on citizen-centred service, service standards, and service quality increasing the autonomy of public managers (especially from central agency controls) increasing the autonomy of public managers (especially from central agency controls) – emphasized in terms of financial and adminsitrative controls; less success in terms of human resource management measuring and rewarding organizations and individuals on whether they meet performance targets measuring and rewarding organizations and individuals on whether they meet performance targets – less effective emphasis – esp. on performance targets

27. Institute of Public Administration of Canada

35. The New Public Management – The Canadian Model distinguishing features – pragmatic/practical and non-ideological distinguishing features – pragmatic/practical and non-ideological providing high-quality services that citizens value providing high-quality services that citizens value – focus on citizen-centred service, service standards, and service quality increasing the autonomy of public managers (especially from central agency controls) increasing the autonomy of public managers (especially from central agency controls) – emphasized in terms of financial and adminsitrative controls; less success in terms of human resource management measuring and rewarding organizations and individuals on whether they meet performance targets measuring and rewarding organizations and individuals on whether they meet performance targets – less effective emphasis – esp. on performance targets open-minded attitude about which public purposes should be performed by the private sector open-minded attitude about which public purposes should be performed by the private sector

36. The New Public Management – The Canadian Model distinguishing features – pragmatic/practical and non-ideological distinguishing features – pragmatic/practical and non-ideological providing high-quality services that citizens value providing high-quality services that citizens value – focus on citizen-centred service, service standards, and service quality increasing the autonomy of public managers (especially from central agency controls) increasing the autonomy of public managers (especially from central agency controls) – emphasized in terms of financial and adminsitrative controls; less success in terms of human resource management measuring and rewarding organizations and individuals on whether they meet performance targets measuring and rewarding organizations and individuals on whether they meet performance targets – less effective emphasis – esp. on performance targets open-minded attitude about which public purposes should be performed by the private sector open-minded attitude about which public purposes should be performed by the private sector – the role of government “can vary from leader, to catalyst, to partner”

37. The New Public Management – The Canadian Model distinguishing features – pragmatic/practical and non-ideological distinguishing features – pragmatic/practical and non-ideological providing high-quality services that citizens value providing high-quality services that citizens value – focus on citizen-centred service, service standards, and service quality increasing the autonomy of public managers (especially from central agency controls) increasing the autonomy of public managers (especially from central agency controls) – emphasized in terms of financial and adminsitrative controls; less success in terms of human resource management measuring and rewarding organizations and individuals on whether they meet performance targets measuring and rewarding organizations and individuals on whether they meet performance targets – less effective emphasis – esp. on performance targets open-minded attitude about which public purposes should be performed by the private sector open-minded attitude about which public purposes should be performed by the private sector – the role of government “can vary from leader, to catalyst, to partner” – less emphasis on privatization – more emphasis on alternative service delivery

38. Alternative Service Delivery Minor ChangeRadical Change User FeesCo-location Single Window Delivery Special Operating Agencies Partnerships Contracting Out New Technologies Privatization Devolution

39. Alternative Service Delivery Minor ChangeRadical Change User FeesCo-location Single Window Delivery Special Operating Agencies Partnerships Contracting Out New Technologies Privatization Devolution

40. IPAC Award for Innovative Managment 2006Sharing Governance – Citizens, Partners, Networks 2006Sharing Governance – Citizens, Partners, Networks 2002Outside-In – Changing Government to Meet Client Needs 2002Outside-In – Changing Government to Meet Client Needs 1999Measurement and Recognition 1999Measurement and Recognition 1992Partnership Mangement 1992Partnership Mangement

41. The New Public Management – The Canadian Model (Summary) distinguishing features – pragmatic/practical and non-ideological distinguishing features – pragmatic/practical and non-ideological application of the model in Canada has been limited application of the model in Canada has been limited

42. The New Public Management basic description basic description NPM and the context of the Sponsorship Scandal NPM and the context of the Sponsorship Scandal NPM and the Gomery Recommendations NPM and the Gomery Recommendations

43. The Context -- New Public Management “...there are those who will say that the adoption of new public management principles, with their emphasis on service delivery, increased autonomy of public managers from central controls. rewarding individuals for performance, and cutting public programs and public servants, significantly contributed to the grants and contributions crisis.” David A. Good, The Politics of Public Management “...there are those who will say that the adoption of new public management principles, with their emphasis on service delivery, increased autonomy of public managers from central controls. rewarding individuals for performance, and cutting public programs and public servants, significantly contributed to the grants and contributions crisis.” David A. Good, The Politics of Public Management

44. The Context -- New Public Management the degree of reliance on private enterprise in the Sponsorship program the degree of reliance on private enterprise in the Sponsorship program

45. The Context -- New Public Management “One expert attribute the Sponsorship scanadal to excesses caused by what he called a “private business culture” or “entrepreneurialism” in the public service. This attitude has replaced a “public business” standards based on the public interest. In the Sponsorship Program, acccording to this theory, the Prime Minister and the Cabinet, with the best of intentions, encouraged the entrepreneurialism of certain public servants, who in turn stopped working for and by the rules of their department and cultviate relationships with private-sector sponsorship companies using a different set of rules and standards.” Gomery Report, Recommendations, 46. “One expert attribute the Sponsorship scanadal to excesses caused by what he called a “private business culture” or “entrepreneurialism” in the public service. This attitude has replaced a “public business” standards based on the public interest. In the Sponsorship Program, acccording to this theory, the Prime Minister and the Cabinet, with the best of intentions, encouraged the entrepreneurialism of certain public servants, who in turn stopped working for and by the rules of their department and cultviate relationships with private-sector sponsorship companies using a different set of rules and standards.” Gomery Report, Recommendations, 46.

46. The Context -- New Public Management the degree of reliance on private enterprise in the Sponsorship program the degree of reliance on private enterprise in the Sponsorship program lax attitude towards process lax attitude towards process

47. The Context -- New Public Management “One legal expert spoke of the Government advertising program as having no rules or dierction, suggesting that a ‘shift to a rule-of-law culture’ would shelter advertising programs from corruption. Such a culture would shift the balance towards public servants’ loyalty to the rules of the public service rather than to the wishes of their political superiors.” Gomery Report, Recommendations, 46. “One legal expert spoke of the Government advertising program as having no rules or dierction, suggesting that a ‘shift to a rule-of-law culture’ would shelter advertising programs from corruption. Such a culture would shift the balance towards public servants’ loyalty to the rules of the public service rather than to the wishes of their political superiors.” Gomery Report, Recommendations, 46.

48. The Context -- New Public Management “The management culture has changed dramatically over the past 20 years from solid record-keeping, accountability and dedication to the public service and loyalty according to our oath of office to Canada, to avoidance of record- keeping and accountability, and dedication of loyalty to the individuals who appointed you and can promote you.” Former Public Servant quoted in Gomery Report, Recommendations, 35. “The management culture has changed dramatically over the past 20 years from solid record-keeping, accountability and dedication to the public service and loyalty according to our oath of office to Canada, to avoidance of record- keeping and accountability, and dedication of loyalty to the individuals who appointed you and can promote you.” Former Public Servant quoted in Gomery Report, Recommendations, 35.

49. The Context -- New Public Management “...the preoccupation with policy and the resulting lack of emphasis on management had permitted the quality of departmental management to fall short of acceptable standards.” Gomery Report, Recommendations, 35. “...the preoccupation with policy and the resulting lack of emphasis on management had permitted the quality of departmental management to fall short of acceptable standards.” Gomery Report, Recommendations, 35.

50. The Context -- New Public Management the degree of reliance on private enterprise in the Sponsorship program the degree of reliance on private enterprise in the Sponsorship program lax attitude towards process lax attitude towards process the emphasis on results the emphasis on results

51. The Context -- New Public Management the degree of reliance on private enterprise in the Sponsorship program the degree of reliance on private enterprise in the Sponsorship program lax attitude towards process lax attitude towards process the emphasis on results the emphasis on results – Mr. Chretien’s defence of the program

52. The Context -- New Public Management the degree of reliance on private enterprise in the Sponsorship program the degree of reliance on private enterprise in the Sponsorship program lax attitude towards process lax attitude towards process the emphasis on results the emphasis on results – Mr. Chretien’s defence of the program “By the year of 2003, support for Canada in Quebec had increased substantially from where it was in the immediate aftermath of the Referendum. In the fall of 2003, 65 percent of Quebecers were satisfied with their federal government.” “By the year of 2003, support for Canada in Quebec had increased substantially from where it was in the immediate aftermath of the Referendum. In the fall of 2003, 65 percent of Quebecers were satisfied with their federal government.”

53. The Context -- New Public Management the degree of reliance on private enterprise in the Sponsorship program the degree of reliance on private enterprise in the Sponsorship program lax attitude towards process lax attitude towards process the emphasis on results the emphasis on results – Mr. Chretien’s defence of the program “By the year of 2003, support for Canada in Quebec had increased substantially from where it was in the immediate aftermath of the Referendum. In the fall of 2003, 65 percent of Quebecers were satisfied with their federal government.” “By the year of 2003, support for Canada in Quebec had increased substantially from where it was in the immediate aftermath of the Referendum. In the fall of 2003, 65 percent of Quebecers were satisfied with their federal government.” – indicative of general problems with performance reporting reporting problems reporting problems attributing causation attributing causation

54. The New Public Management basic description basic description NPM and the context of the Sponsorship Scandal NPM and the context of the Sponsorship Scandal NPM and the Gomery Recommendations NPM and the Gomery Recommendations

56. Values of the New Public Management

57. Context in which Change is/was Taking Place... globalization globalization budgetary deficit budgetary deficit information technology revolution information technology revolution less deferential public less deferential public more aggressive media more aggressive media

58. Some Thoughts on the Context: “When a culture of forbearance and forgiveness descends on Washington, please alert the FBI at once. It is evidence that someone has kidnapped or anaesthetized the entire legislative and judicial branches.”James Q. Wilson “There’s a new emphasis in the federal government to encourage risk-taking among its employees. But the reality remains that when mistakes are made the individual is hoisted up the flagpole.”News report of TBS Study

59. OBSTACLES TO REFORM: The “Control Lobby” who are they? who are they? – opposition parties in Parliament – The Auditor General – the media link link – doubts about the adequacy of rules regulating bureaucratic behavior motives motives benign benign cynical cynical

60. REFORM VS. THE CONTROL LOBBY: A Chronology the Glassco Commission (1960-1963) the Glassco Commission (1960-1963) Refitting Bonaventure Refitting Bonaventure the Lambert Commission (1979) the Lambert Commission (1979) the McGrath Report (1985) the McGrath Report (1985) PS2000 (1989) PS2000 (1989) the Al-Mashat Affair (1991) the Al-Mashat Affair (1991) the New Public Management (1992...) the New Public Management (1992...) the HRDC Billion Dollar Boondoggle the HRDC Billion Dollar Boondoggle the Sponsorship Scandal the Sponsorship Scandal

61. Control Lobby Demands calls for greater personal bureaucratic accountability calls for greater personal bureaucratic accountability

62. Calls for Greater Bureaucratic Accountability ministerial “answerability” ministerial “answerability” – lack of appropriate penalties – artificiality of ministerial “answerability” tenure of ministers tenure of ministers scope of ministerial knowledge/competence scope of ministerial knowledge/competence reactive (rather than proactive) reactive (rather than proactive) – example of HRDC scandal

63. Calls for Greater Bureaucratic Accountability the myth and practice of ministerial responsibility the myth and practice of ministerial responsibility the problems of ministerial “answerability” the problems of ministerial “answerability” towards greater personal bureaucratic accountability towards greater personal bureaucratic accountability

64. Calls for Greater Bureaucratic Accountability the myth and practice of ministerial responsibility the myth and practice of ministerial responsibility the problems of ministerial “answerability” the problems of ministerial “answerability” towards greater personal bureaucratic accountability towards greater personal bureaucratic accountability Freedom of Information Freedom of Information

65. Calls for Greater Bureaucratic Accountability the myth and practice of ministerial responsibility the myth and practice of ministerial responsibility the problems of ministerial “answerability” the problems of ministerial “answerability” towards greater personal bureaucratic accountability towards greater personal bureaucratic accountability Freedom of Information Freedom of Information bureaucratic accountability to parliamentary committees bureaucratic accountability to parliamentary committees

66. Control Lobby Demands calls for greater personal bureaucratic accountability calls for greater personal bureaucratic accountability calls for tighter controls on bureaucracy and stricter program rules calls for tighter controls on bureaucracy and stricter program rules

67. Effects of Control Lobby Pressure centralization over decentralization centralization over decentralization flexibility becomes a risk flexibility becomes a risk risk for political officials risk for political officials risk for bureaucratic officials risk for bureaucratic officials alternative service delivery poses risk alternative service delivery poses risk – contracts, partnerships risk-taking is strongly discouraged risk-taking is strongly discouraged

68. “In the private sector, it does not matter much if you get it wrong 30 percent of the time so long as you can turn a profit at the end of the year and the bottom line remains healthy. In the public sector it does not matter much if you get it right 95 percent of the time because the focus will be on the 5 percent of the time you get it wrong.” Donald Savoie, Governing from the Centre (1999:54)

69. Effects of Control Lobby Demands centralization over decentralization centralization over decentralization flexibility becomes a political risk flexibility becomes a political risk alternative service delivery poses risk alternative service delivery poses risk – contracts, partnerships risk-taking is strongly discouraged risk-taking is strongly discouraged process accountability favoured over results-based accountability process accountability favoured over results-based accountability

70. The New Public Management

71. The NPM and the Gomery Recommendations

73. no need for new central controls no need for new central controls – “...more red tape and more regulations than exist at present should not be recommended.” – re: new internal audit approach and establishment of CFOs in departments “...they could also add more red tape to government and have but limited impact on the political and adminstrative culture.” (26) “...they could also add more red tape to government and have but limited impact on the political and adminstrative culture.” (26)

74. The NPM and the Gomery Recommendations no need for new central controls no need for new central controls greater accountability for existing rules greater accountability for existing rules – “Managers must continue to have the resonsibility for managing, but they should be more accountable for the use of thier power.” (10) – “They must know that they will be held accountable for any deficiency in their stewardship of the public purse.” (11) – “The knowledge that one’s errors and misdeeds will be found out and exposed is a powerful encouragement to better performance and behaviour.” (117)

75. The NPM and the Gomery Recommendations no need for new central controls no need for new central controls greater accountability for existing rules greater accountability for existing rules – strengthen the Public Accounts Committee – make DMs directly accountable to PAC for management

76. The NPM and the Gomery Recommendations no need for new central controls no need for new central controls greater accountability for existing rules greater accountability for existing rules culture change culture change

77. The NPM and the Gomery Recommendations “...a change in administrative culture is needed to ensure that management in the Government of Canada reaches acceptable standards. [...] Fr the culture of the public service to change so that regularity, propriety, and good management in general are given a higher priority, the public service, and particularly those who are its administrative heads, must give management skills a higher priority. [...] The solution remains...to persuade the managers to focus on good management.” Gomery Report, Recommendations, 106-7. “...a change in administrative culture is needed to ensure that management in the Government of Canada reaches acceptable standards. [...] Fr the culture of the public service to change so that regularity, propriety, and good management in general are given a higher priority, the public service, and particularly those who are its administrative heads, must give management skills a higher priority. [...] The solution remains...to persuade the managers to focus on good management.” Gomery Report, Recommendations, 106-7.

78. CONCLUSIONS: The Virtues of Bureaucracy vs. The Need for Reform valuing the virtues of bureaucracy valuing the virtues of bureaucracy – impartiality/accountability can be misconstrued as red tape and inefficiency can be misconstrued as red tape and inefficiency – the vicious cycle of bureaucratic distrust

79. The Virtues of Bureaucracy vs. The Need for Reform valuing the virtues of bureaucracy valuing the virtues of bureaucracy – need to temper public expectations regarding bureaucratic performance the need for reform the need for reform – need to temper public expectations about accountability and raise public tolerance of risk Where to start? Where to start? – “Big answers to management constraints in government departments will not be possible until Parliament and the control lobby first change their ways.” Donald Savoie, 1999